In order to meet the challenges of international giants like Dow, Shell, Bayer, BASF and Huntsman – which dominate the Indian polyols market – Manali Petrochemicals (Chennai / India; www.manalipetro.com) has announced a EUR 150m investment to lift its polyols capacity from the current 50,000 t/y to 150,000 t/y. The first stage of the upgrade of the Chennai-based facility is set to be completed by March next year, and will raise output to 75,000 t/y, the company said. Subsequent phases will bring on stream an additional 25,000 t/y each and are to be held at one-year intervals, with completion expected in 2019.

Commenting on the investment, group chairman Ashwin Muthiah said, “This move will give Manali Petrochemicals significant scale and ability to further penetrate the market. The latest technology will ensure efficient and global manufacturing best practices.” The new capacity will use a proprietary innovative technical process, the company said.

India’s polyols demand is estimated at about 500,000 t/y. Following a complaint filed by Manali Petrochemicals in 2013, the country’s finance ministry in April imposed duties on imports of polyols from Europe, Singapore and Australia – see Plasteurope.com of 21.04.2015.